Stock Market News

FX round-up: Dollar up as euro flounders

The dollar rallied against the euro on Tuesday, supported by a rise in US bond yields, while the single currency fell after the European Central Bank's decision to inject liquidity into the Eurozone and cut interest rates.

The euro fell to $1.3547 from $1.3594 on Monday after the ECB cut interest rates to record lows and took its deposit rate into negative territory for the first time as it seeks to encourage lending and revive the region's low inflation.

While the ECB increased its economic stimulus at its last meeting, in contrast, the US Federal Reserve is widely expected to continue reducing its monthly asset purchases at its meeting in June. On Friday upbeat US jobs data boosted sentiment about the world's largest economy.

The dollar index, which measures the US currency against six others, rose to 80.803 from 80.623 on Monday.

The greenback eased to ¥102.33 from ¥102.52 the session before as investors look ahead to the Bank of Japan's two-day policy meeting, which starts of Thursday.

Japan's central bank is expected to keep monetary policy on hold and many expect to upwardly revise its assessment on overseas growth.

Stock News is provided by Digital Look Corporate Solutions from Sharecast news.
Please read the terms and conditions of useage of this data. Republication or redistribution of content, including by caching, framing or similar means, is expressly prohibited without the prior written consent of Digital Look Ltd.

Get a free widget for your website with our latest headlines.

You can now add our live prices and new headlines to your website.The news widget features quotes for Oil prices, spot Gold price and Indices plus a choice of news channel for healines.